Mortgage Loan Insurance

CMHC is committed to helping Canadians meet their housing needs by facilitating affordable housing in Canada. One of the primary ways that CMHC contributes to this objective is through the provision of mortgage loan insurance. CMHC enables lenders to offer flexibilities to home buyers and proponents of affordable housing projects, beyond those available for the financing of market housing.

Our flexibilities can help homebuyers by accepting a broader range of down payment sources and higher ratios.

{Visual}: (Graphic textbox with image of a father and daughter painting a house/calculations/couple packing boxes: Affordable Homeownership)
(Bullet 1: Recognition of a broad range of down payment sources)
(Bullet 2: Flexibility for qualifying borrowers)

We can also help developers with reduced equity requirements, lower premiums, flexibilities in cash flow requirements and loan advancing.

Affordable Multi-Unit Residential Projects (5+ units)

Affordability Criteria/ Rent Levels
To be considered affordable, rents for the majority of units in a housing project must meet CMHC’s Affordability Criteria/Rent Levels and be within the levels representing the 80th and 65th rent percentiles (referred to as Levels 1 and 2 respectively). The rent levels are derived from the most recent data gathered from CMHC’s rental market survey.

CMHC Multi-Unit Affordable HousingTo support the creation of affordable multi-unit housing, CMHC offers financing flexibilities, including loan-to-value ratios of up to 95% and reduced premiums. The higher the level of affordability, the greater the flexibilities offered.

CMHC Green HomeProvides mortgage loan insurance for the purchase of an energy-efficient home or to make energy-efficient improvements to an existing home. Borrowers may be eligible for extended amortization without a premium surcharge and a 10 per cent mortgage insurance premium refund.